LondonMetric has exchanged on the sale of a 341,000 sq ft distribution facility in Wellingborough for £29.2m.
The sale of the Northamptonshire property reflects an initial yield to the institutional purchaser of 5.8%.
The warehouse is let to Somerfield Stores with a further 12.3 years remaining and is sublet to Yusen Logistics on shorter a term.
LondonMetric purchased the asset in 2009 for £19.6m, making a 38% profit on cost. The sale reduces the number of distribution assets in the LondonMetric portfolio to 22 with a total value of £663.4m
Andrew Jones, chief executive of LondonMetric, said: “This asset has performed strongly over the last six years delivering a geared IRR of 24.2% pa. We will now look to recycle the proceeds into further asset management and development opportunities across the logistics sector that better fit our return criteria.”
